Consider the scenario of Horizon Corporation:

• Executive Name: Sophia
• Position: Chief Operating Officer (COO)
• Company Type: Publicly-traded company in the technology sector
• Effective Date: January 1, 2022

The following table outlines Sophia's compensation for 2023:

• Base Salary: $1,500,000
• Performance Bonus: $200,000
• Stock Options: 8,000

Determine the deductible portion of Sophia's compensation on Horizon Corporation's 2023 corporate income tax return.